Business Link Launches National Minimum Wage Calculator

Business Link has launched a national minimum wage calculator on its website so that businesses can now check that they are compliant with national minimum wage legislation coming into force in the UK in April. The site also includes guidance on what businesses need to do to prepare for the new legislation.

From April 2009, employers who do not comply with the National Minimum Wage rules will be issued with an automatic penalty of up to £5,000. A new way of calculating arrears for workers who have been underpaid will also be introduced. This makes employers liable to pay arrears to their workers at the current minimum wage rate, even if that is higher than the rate at the time of the underpayment. The national minimum wage calculator also helps employers to determine the amount of the arrears owed to an employee, enabling businesses to pay due amounts fairly and on time.

Employment Relations Minister Pat McFadden said: “All employers should be aware of new penalties for breaking minimum wage law that come into force in April. The vast majority of employers want to do the right thing by their staff and this calculator will help prevent them from inadvertently breaching the rules.”

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